Security Levels

Compensatory Time Off

Compensatory Time for Irregular or Occasional
Overtime Work:
Irregular or occasional overtime is overtime which is worked
in the same week in which it is authorized and is payable at
the employee's overtime rate. At supervisors/managers
discretion, a FLSA exempt employee with a rate of basic pay
in excess of the maximum for GS-10 may be compensated for
irregular or occasional overtime work by an equal amount of
compensatory time off.

Any FLSA NON-exempt employee and any FLSA exempt
employee earning less than the maximum for GS-10 may elect
compensatory time if presented a choice, but cannot be
required to take it in lieu of overtime pay.

Timeframes for Use of Compensatory Time:
On March 15, 2007, the Office of Personnel
Management (OPM) issued final regulations setting timeframes
for the use of compensatory time off earned in lieu of
irregular or occasional overtime worked. Under these
regulations, compensatory time must be used no later than 26
pay periods after the pay period in which it was earned and
reported on the time and attendance (T&A) report.

When Unused Compensatory Time Hours
MUST be Paid:
An employee who is FLSA NON-exempt must receive
payment for unused compensatory time hours if the employee:
(1) fails to use the compensatory time off within the
required 26 pay period or the 3-year timeframes; or (2)
transfers to another agency or separates from Federal
service before the expiration of the 26 pay period or the
3-year timeframes.

Both FLSA NON-exempt and exempt employees, must receive
payment for unused compensatory time hours if they separate
from federal service or are placed in LWOP status: (1) to
perform service in the uniformed services (as defined under
38 U.S.C. 4303 and § 353.102); or (2) due to an on-the-job
injury with entitlement to injury compensation (under 5
U.S.C. Chapter 81).

When Unused Compensatory Time Hours
MAY be Paid:FLSA-exempt employees who forfeit
unused compensatory time hours once the required timeframe
is reached may request a payment if they meet certain
criteria. The criteria is outlined in the sample memorandum
to request compensatory time payment (see references).